For a good number of security instruments, there is included a “Prepared By” section in which at least the name (and usually the contact information) of the person and company who prepared the instrument is disclosed.
Our policy has been to include this section only when:
1. Required by statutory law;
2. Necessitated by case law which holds that the preparation of a security instrument is a practice of law (i.e. including the section allows clients to show that an attorney prepared the instrument); or
3. It is referenced or recommended by Ernst Publishing (http://ernstpublishing.com/default.asp), which provides detailed, state-by-state recording rule summaries.
Pursuant to an audit of these sections on our instruments, we will be removing this section on the following documents, since they are not required or recommended:
- Alaska: Cx467 (2nd Lien), Cx1344 (HELOC)
- Connecticut: Cx314 (1st Lien), Cx367 (FHA), Cx1399 (HELOC)
- Massachusetts: Cx328 (1st Lien), Cx381 (FHA), Cx486 (2nd Lien), Cx1332 (HELOC)
- Missouri: Cx491 (2nd Lien)
- Montana: Cx335 (1st Lien), Cx388 (FHA), Cx493 (2nd Lien), Cx3027 (HELOC)
- Nevada: Cx500 (2nd Lien), Cx3039 (HELOC)
- New Hampshire: Cx497 (2nd Lien)
- North Dakota: Cx337 (1st Lien), Cx495 (2nd Lien), Cx3028 (HELOC)
- Oregon: Cx504 (2nd Lien), Cx1370 (HELOC)
We will be adding a “Prepared By” section to the following documents, since it is recommended:
- Arizona: Cx364 (FHA)
- Colorado: Cx366 (FHA), Cx1361 (HELOC)
- Louisiana: Cx380 (FHA)
- Oklahoma: Cx398 (FHA), Cx3392 (1st Lien)
These changes will take effect on February 28, 2014. If you have any questions or concerns about this change, or would like this document assigned to your packages, please contact Client Support at 1.800.497.3584.
February 20, 2014
DR 147076, 147884